Technology has impacted numerous areas of our lives and modern businesses cannot effectively exist without integrating technology in their operations. The world needs it, the customers want it and businesses are undisputedly more efficient with it. For modern businesses, staying at the forefront by anticipating and embracing emerging technologies in various sectors is very crucial to achieving a competitive edge and long term overreach. In the accounting sector, software is as indispensable as a spanner is to a mechanic. There are several ways how tech affects your business with online payroll systems, cloud computing, security enhancement, efficiency in taxing processes and even finding new businesses. Here is a brief look at how tech has impacted the business world particularly in accounting:
• Cloud computing
This is one of the most ubiquitous developments of the 21st century and it has officially taken over all fronts including business accounting. Cloud computing simply refers to offering services and processes online rather than the customer’s business premises, evident in Google’s mailing service, enterprise management systems, online payroll service and CRMs among others. Although cloud computing is not yet become the standard for accounting sector, there are various cloud-based software applications that bring in the efficiencies of modern tech. The SAAS software-as-a-service model allows businesses to track real time changes and achieve quick evolution. Customers can take pictures of their receipts and attach them in mails, use HRM-compliant payrolls that support VAT and allow self-assessment.
• Advanced taxing software
We already have a real time PAYE online service that loads the necessary details in real time. Most tax software applications you come across today will allow real-time payroll filling. This is because the taxing bodies, like IRIS have synced their payroll and tax databases which mean updating information on your payroll automatically fills in those details in the tax return columns. There is no additional need to fill and calculate your total pays and deductions for the year once you fill the payroll and this can be done from the comfort of your home using a device as simple as a smartphone.
• Tech and efficiency
No one can deny the fact that technology’s greatest benefit is in efficiency and accuracy. Tax advisors have had their risk accessing and managing duty cut down by a significant magnitude when they use taxing software. These include analytical tools that can identify various kinds of anomalies in data, highlight them, perform further investigation and provide detailed reports of the errors as they occur. Customers can also identify and correct errors before they make their returns. Other ways in which efficiency is achieved includes the use of reminders that immediately notify customers, for instance, if their distributable reserve falls below a certain specified amount.
There are probably a thousand other ways in which technology has impacted the business environment in the accounting sector. Tech can even help you find new business using client hubs and targeting people of a particular age, income, property and residential area before adding them to mail mergers for future promotional emails. Nonetheless, technology also brings with it, vibrant challenges and security concerns. It is therefore important to be very careful when integrating new technology into your business operations.